8/6/2010 11:47:00 AM
3 UK narrows losses by 87% to £20m
Hutchinson Whampoa, the owner of the 3 Group and 3 in the UK, has narrowed losses for the first half of this year by 87% to £20m. The company reported its results for the period ended 30 June 2010 yesterday (5 August). In the six months from December 2009 to June 2010, 3 UK saw a 1% decline in the number of contract customers and a 25% increase in prepay customers to a total customer base of 6.2 million.
The base is split between 2.6 million prepaid customers and 3.5 million contract customers. The 3 Group overall saw a 6% increase in its customer base globally to 27.8 million customers.
Customer service revenue totaled £81m in the UK, which was 12% of total revenue. Meanwhile, contract totaled £604m - 88% of total revenue. Revenue from the two segments totaled £686m, a 9% decline on the same period last year.
The operator saw voice ARPU drop by 10% compared with the first six months of 2009. Non-voice ARPU was £9.07 in the UK.
Hutchinson Whampoa chairman Li Ka-shing said in a statement: ‘All operations achieved either reduced LBIT or a turnaround to EBIT positive results compared to the same period last year and as a result, LBIT for the 3 Group as a whole was reduced to HK$998 million, an 82% reduction compared to total LBIT of HK$5,451 million for the comparable period in 2009. LBIT reduced mainly due to the 3 Group’s increase in EBITDA as well as a reduction in amortisation of 3 UK’s licence costs of HK$1,400 million compared to the first half of 2009.’